We use cookies to give you the best possible experience on our website. By continuing to use this site you consent to the use of cookies on your device as described in our cookie policy unless you have disabled them.

Tax

Have a tax question? Ask a tax Expert

Connect one-on-one with {0} who will answer your question

By continuing to use this site you consent to the use of cookies on your device as described in our cookie policy unless you have disabled them.

Can a 501(c) non-profit org. provide a donation receipt to…

Customer Question

Can a 501(c) non-profit org...

Can a 501(c) non-profit org. provide a donation receipt to a company who provides a $1,000.00 check written in the name of the non-profit org. but specifies that the $1,000.00 should be used immediately for a little league football team expenses and wishes to receive a check for a $1,000.00 from the non-profit immediately to pay the football teams expenses? What section of the tax code covers such a transaction?

Can you tell me the purpose of the 501(c) organization? This will depend on the organizations purpose.

Corporations frequently donate money to an organizations cause, and then want to see proof that the money is used for the purpose.

Ask Your Own Tax Question

Customer reply replied 10 years ago

The purose of the 501(c)(3) org. has been in the area of community service work. The org. begin operations in 1984 and had a primary focus in the area of helping the needy populations in columbus, ohio with interest such as providing all sort of services for the homeless population through its homeless shelters. Most recently, the org. has begun programs addressing ex-offender re-entry services and programs. however, the general manner of which the organization was originally set up allows for functioning as a fully tax exempt non-profit charitable organization which could involve all chariable activities within the law.

This is referred to as a designated donation. By law you can not use it for anyother intended purpose without the approval of the donor.

This donation is still deductable as long as it is not designated for a particular individual.

The business can recieve the check from the organization for the team expenses, provided the team is managed by that company.

The problem you may have is if baseball teams are part of the definition in your charter of what constitutes charitable activities within the community. I am not able to address that because I do not have access to your charter.

If your organization is formed and received tax exempt status for taking care of the homeless, and now you are taking care of baseball teams, then that income may be viewed by the IRS as unconnected activity.

At the very least, the 501 board of directors should meet and amend the charter to include community based activities other than homeless.

Hi, I'm forming a non-profit 501c(3) org and wanted to get advice on my purpose and dissolution statements. I've read that this is the most critical aspect in gaining tax-exempt status. a) is that tru… read more

Hi Lane,Could you help me me apply basic IRS guidelines to tax exempt status for a specific non-profit org I would like to create? I want to make sure what I am creating has a real shot at meeting the… read more

James,Thanks for your help earlier. I have another question. We have a master league account where all league funds go into and out of. We also have about 15 team accounts that the teams can access fo… read more

Hi there! I am so excited that it is a woman that is helping me with this question, because has everything to do with my endeavor! I am starting a professional association and am trying to file as a 5… read more

Hi - I'm forming an organization w friends and one of our purposes is to raise money for different charities throughout the year... we're trying to figure out if we need to register as a NPO, and then… read more

I have an adult foster care home in Hawaii. What is considered gross income? I receive one form of payment from medicaid and the other from the family that handles their social security or SSI. … read more

If an artist co-op charges an annual fee to its members is the income (fee) taxable by the IRS? The co-op has no legal standing through the IRS. The fees are used to cover the cost for running the co-… read more

If you are a tax exempt organization (youth sport team) and have a tax ID, but prior manager never filed for tax exempt status. What do you do? Do you file for a new tax ID? or just file with old EIN?… read more

Good morning. Another couple and us started up our own travel baseball team a few years ago. Because it was just one team, a few banks recommended that we just open up a free personal checking account… read more

I'm an officer of a non-profit organization. A foundation wishes to give a 5-digit sum to the non-profit and has asked that we direct the funds to an employee of our non-profit. The foundation to whic… read more

how does a non profit organization register with IRS to get a 501c status. Also, is there some cost associated with registering with the IRS. Here is the background: The organization is a booster club… read more

When one corporation receives a donation from a parent corporation for the purpose of paying basic operating expenses, should that be considered "other income" or equity? I've just stepped into the bo… read more

I have a 501(c)3 corporation which is a travel softball team. If a business or person made a tax deductible donation to the team, and now want some money back, are they entitled to a refund?… read more

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.

JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.